30 July 2009 12:14 [Source: ICIS news]
LONDON (ICIS news)--Dow Chemical suffered a second quarter net loss of $435m (€309m) on continued weak business and charges related to its acquisition of specialty and materials maker Rohm and Haas, the US company said on Thursday.
Dow also said it had agreed the sale of its share in the Malaysia-based Optimal olefins, glycols and chemicals ventures to state-controlled Malaysian partner Petronas for $660m. Dow owned its share in the companies through its Union Carbide subsidiary.
The quarterly loss compared with a profit of $776m reported for the second quarter of 2008 and a $24m net profit in the first quarter of this year.
Dow’s reported loss for the second quarter was $0.47 a share. Excluding a one time increase in the cost of sales related to the fair valuation of Rohm and Haas, inventories and restructuring charges and acquisition costs, the company earned $0.05 a share in the quarter compared with $0.81 a share in the second quarter of 2008.
Dow said that volumes in the second quarter were down 20% on a pro forma basis but improved 5% compared with the first quarter of 2009, marking the first sequential gain since the second quarter of 2008.
Net sales for the latest quarter were down 31% at $11.3bn.
($1 = €0.71)
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